South Korean retail giant Shinsegae will buy a local furniture company Casamia for KW180 billion (US$167.8 million) in a bid to tap into the country’s home-furnishing industry.

Shinsegae Department Store will sign a contract with the company’s founder “and others” to buy a 92 per cent stake in the company, reports the Korea Herald.

Launched as a small furnishing shop in Seoul in 1982, Casamia now has multiple brands, ranging from home decor to office furniture. Sales reached KW121.9 billion in 2016.

Shinsegae has declined to comment on the acquisition, and Korea Exchange has asked that it confirm media reports in a regulatory filing.